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Cloud Computing and Virtualization Survive Tech Bust

More news from Gartner’s technology conference in Orlando. Seems that amid the recent downturn in tech spending, firms still invested in cloud computing and virtualization. And they spent in order to save money.

According to Gartner, revenue from cloud services is due to exceed $56 billion this year, up from 21% in 2008. Compare that to a more than 5% decline for the entire IT industry. The cloud market is expected to reach $150.1 billion by 2013.

Aside from helping firms save money, cloud computing allows companies to grow without spending more on capital, and that’s an attractive proposition in this economy, too.

Meanwhile, the virtualization market is only in the beginning stages of growth. About 16% of the data runs through virtualized machines, stimulating multiple servers and making them more efficient. Last year, there were 5.8 million virtualized servers; Gartner predicts that number to rise ten-fold by 2012.

At the conference, a Gartner analyst said that cost-savings from VMs were less important than the agility of a virtual server, pointing out that virtualization provides a path to using more cloud services.

Gartner predicts that both technologies will remain attractive, as companies look to expand once the economy turns around. Nevertheless, others noted the skittishness among companies to put their sensitive data on the web.

I found it interesting reading, too, about how all kinds of IT companies are providing services to businesses using the cloud. And they’re doing an important work. For one, take firms that monitor cloud-based servers and apps.

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